Roper Technologies, Inc. (ROP)

Profitability ratios

Return on sales

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Gross profit margin 69.30% 69.68% 69.90% 69.96% 69.72% 69.79% 69.69% 69.66% 69.86% 69.86% 70.10% 70.36% 69.05% 74.13% 73.33% 71.19% 70.19% 68.60% 67.72% 67.96%
Operating profit margin 28.37% 28.56% 28.66% 28.57% 28.25% 28.27% 28.40% 28.22% 28.38% 26.41% 26.11% 25.81% 25.15% 28.62% 28.48% 27.68% 27.33% 27.94% 28.17% 29.16%
Pretax margin 27.95% 27.52% 28.01% 29.49% 28.47% 54.38% 55.72% 56.00% 90.12% 61.12% 61.75% 62.81% 28.15% 28.89% 27.54% 26.11% 24.77% 41.80% 41.37% 41.34%
Net profit margin 22.01% 21.78% 22.14% 23.21% 22.41% 48.77% 50.21% 50.48% 84.60% 55.87% 56.44% 58.17% 23.36% 24.23% 23.21% 21.54% 20.38% 32.91% 32.74% 32.71%

Roper Technologies, Inc. has shown a stable and improving trend in its profitability ratios over the past few years.

1. Gross Profit Margin: The company's gross profit margin has shown a consistent increase from 67.96% in March 2020 to 69.30% in December 2024. This indicates that Roper has been effectively managing its production costs and pricing strategies to improve its profitability from its core operations.

2. Operating Profit Margin: Roper's operating profit margin has fluctuated but overall trended upwards, starting at 29.16% in March 2020 and reaching 28.37% by December 2024. Despite some fluctuations, the company has been able to maintain a healthy operating profit margin over the years.

3. Pretax Margin: The pretax margin of Roper Technologies varied significantly during the period under review. It started at 41.34% in March 2020, dropped to 24.77% in December 2020, experienced a sharp increase to 90.12% by December 2022, and then declined to 27.95% by December 2024. These fluctuations may be attributed to factors like changes in tax laws, one-time gains or losses, and shifts in the company's revenue mix.

4. Net Profit Margin: Roper's net profit margin has also shown fluctuations, starting at 32.71% in March 2020 and ending at 22.01% by December 2024. The net profit margin was impacted by the same factors affecting the pretax margin, but with the additional consideration of interest expenses and other non-operating items.

In conclusion, while Roper Technologies has demonstrated strong gross and operating profit margins, some volatility in the pretax and net profit margins suggests the company may have faced challenges or opportunities impacting its overall profitability in recent years. Further analysis of the underlying reasons for these fluctuations would be necessary to gain a more detailed understanding of Roper's profitability trends.


Return on investment

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Operating return on assets (Operating ROA) 6.37% 6.13% 6.31% 6.09% 6.20% 6.01% 5.98% 5.78% 5.65% 5.63% 5.23% 4.99% 5.23% 5.58% 5.49% 5.37% 5.30% 5.62% 7.23% 8.05%
Return on assets (ROA) 4.94% 4.68% 4.88% 4.95% 4.91% 10.37% 10.57% 10.35% 16.84% 11.90% 11.31% 11.25% 4.86% 4.72% 4.47% 4.18% 3.95% 6.62% 8.40% 9.03%
Return on total capital 8.06% 7.88% 8.20% 8.25% 8.26% 14.64% 14.92% 14.76% 22.88% 17.01% 16.42% 16.53% 8.69% 8.36% 7.83% 7.47% 7.03% 11.38% 14.68% 15.83%
Return on equity (ROE) 8.21% 7.97% 8.02% 8.33% 7.93% 17.16% 17.34% 17.19% 28.34% 20.96% 20.88% 21.28% 9.97% 9.88% 9.61% 9.27% 9.06% 15.40% 16.28% 17.08%

Roper Technologies, Inc. has shown relatively stable profitability ratios over the periods analyzed.

- Operating Return on Assets (Operating ROA): This ratio measures the company's operating income generated per dollar of assets. Roper's Operating ROA has gradually decreased from 8.05% as of March 31, 2020, to 6.37% as of December 31, 2024, indicating that the company's operational efficiency in generating profits from its assets has slightly declined over the years.

- Return on Assets (ROA): This metric assesses the company's overall profitability by measuring how efficiently it utilizes its total assets to generate profit. Roper's ROA fluctuated over the period. It ranged from 3.95% on December 31, 2020, to a peak of 16.84% on December 31, 2022. The ratio saw some variability, potentially due to changes in asset turnover and net income.

- Return on Total Capital: This ratio signifies the company's ability to generate earnings from the total capital employed, which includes both debt and equity. Roper's Return on Total Capital increased significantly from 7.03% as of December 31, 2020, to 22.88% as of December 31, 2022, before decreasing to 8.06% as of December 31, 2024. This indicates varying levels of profitability relative to the total capital invested by both debt and equity holders.

- Return on Equity (ROE): ROE shows how effectively the company is utilizing shareholder equity to generate profit. Roper's ROE also demonstrated fluctuations during the period examined, ranging from 7.93% on December 31, 2023, to 28.34% on December 31, 2022. The company's performance in generating returns for shareholders has been somewhat volatile but generally positive.

Overall, while Roper Technologies has experienced variations in its profitability ratios, it has maintained a decent level of efficiency in generating profits compared to its asset base, total capital, and shareholder equity over the analyzed periods.


See also:

Roper Technologies, Inc. Profitability Ratios (Quarterly Data)